KATHMANDU: The Nepal Stock Exchange (NEPSE) saw a substantial gain of 113.42 points, or 4.41%, closing at 2,681.56 points. This rise triggered two positive circuit breaks, indicating strong upward momentum and nearly leading to an early closure on the first trading day of the week. One minute after the market opened, there was a trading halt due to the first circuit break, which lasted for twenty minutes. Shortly after the trade restarted, there was another break, which also lasted for forty minutes. The market bounced back and ended the day higher despite these disruptions.
The NEPSE index fluctuated significantly post-resumption but did not trigger a third circuit break. At 12:04 PM, the index reached a high of 2,708.58 points; however, it fell to 2,624.77 points at 12:14 PM and then gradually increased to its closing value. The performance of class 'A' equities is measured by the sensitive index, which increased by 5.82%, while actively traded shares are measured by the float index, which gained by 5.03%.
Positive sentiment was driven by the release of a favorable monetary policy by the Nepal Rastra Bank (NRB) on Friday. The policy removed the Rs 200 million limit for institutional investors on share mortgage loans, significantly boosting market confidence. Daily turnover reached Rs 15.81 billion, up from Rs 14 billion on Friday, with a total of 40,314,517 units of shares from 318 companies exchanged in 163,810 transactions.
Most sectors recorded gains, with the banking sector leading with a 9.89% increase. The Microfinance sector was the only one to record a loss, dropping by 0.18%. Individual stock performance was mixed, with 148 businesses rising, 87 falling, and eight flat. Kumari Bank Limited (KBL) led in turnover and volume, while Himalayan Reinsurance Limited (HRL) lead in transaction count. The entire market capitalization was Rs 4.254 trillion, demonstrating robust investor sentiment and good market conditions.
